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California News April 12, 2022 3 mins read

PG&E to pay $55 million to settle lawsuits over Northern California Dixie, Kincade Wildfires

California News ı By Marivic Cabural Summers

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PG&E

Pacific Gas and Electric Company (PG&E) reached agreements to settle criminal lawsuits alleging that its faulty equipment caused the 2021 Dixie wildfire and the 2019  Kincade wildfire in Northern California.

Under the settlement agreements, PG&E agreed to pay a total of $55 million to resolve the criminal complaints regarding the two wildfires that caused massive damages and multiple injuries.

Data from CalFire showed that the Dixie wildfire burnt 963, 309 acres and destroyed 1,329 structures in Butte, Lassen, Shasta, Plumas, and Tehama counties. It is one of the largest and most destructive wildfires that occurred in California.

The Kincaid wildfire torched 77,758 acres, destroyed 374 structures, damaged 60 structures, and caused four injuries in Sonoma county.

As a result of the settlement agreements, the five North Valley counties ravaged by the Dixie wildfire will no longer file criminal charges while Sonoma county will dissolve its criminal complaint regarding the Dixie wildfire.

More than $35 million out of the total settlement amount will go to non-profit organizations including Fire Safe Councils, volunteer fire departments, local schools, and community groups such as Rotary Clubs, Chambers of Commerce, and organizations serving veterans and the homeless.

PG$E will pay each of the North Valley counties $1 million in civil penalty related to the Dixie wildfire. The utility county will pay Sonoma Country $7 million in civil penalty related to the Kincade wildfire.

The utility company made a commitment to a five-year monitorship of its management and system inspection work in the six counties.

Filsinger Energy Partners will serve as an independent monitor and will regularly directly report to the district attorneys on the company's progress. The firm will also serve as the Independent Safety Monitor for the California Public Utilities Commission.

PG&E said it will not seek recovery of these costs from customers.

In a statement, PG&E CEO Patti Poppe said, “We are committed to doing our part, and we look forward to a long partnership with these communities to make it right and make it safe."

Poppe added, “We respect the leadership of the local DAs, welcome the new level of transparency and accountability afforded by these agreements, and look forward to working together for the benefit of the communities we collectively serve.”

In December 2019, PG&E agreed to pay $13.5 billion to settle all claims related to the 2018 Camp Fire, the deadliest wildfire in the history of California, and the 2017 Tubbs Fire. It also resolves all claims from the 2016 Ghost Ship Fire in Oakland and the 2015 Butte Fire.

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Marivic Cabural Summers

Marivic has been a freelance writer/journalist for nearly 20 years. She strictly adheres to the ethical standards in journalism. For her, integrity is everything. Readers deserve to know that real story. She previously worked as research analyst and editor at Lombardi Financial and has written for various websites including The Motley Fool, ValueWalk, IcannWiki and was a news writer/radio program producer at Nation Broadcasting Corporation. Marivic holds a BA in Mass Communications.

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